Fonterra shaves 50c off forecast milk price
Fonterra has dropped its forecast milk price mid-point by 50c as a surge in global milk production is putting downward pressure on commodity prices.
A group of trained 129 Fonterra employees stationed at 11 sites around the country; they make up the co-op’s elite response team (ERT) and when disaster strikes some of them are mobilised and deployed to help farmer shareholders recover.
After the Kaikoura earthquakes on November 14, a seven-member team headed by Fonterra’s ERT leader Kevin Lockley was flown into Kaikoura.
The team included a refrigeration engineer from Fonterra’s Tip Top factory in Auckland, one staffer from Tirau site, two from Whareroa and three from Clandeboye.
They spent two weeks helping farmer shareholders milk cows, fix broken water pipes, help install power generators and repair effluent systems.
Lockley says quake-affected farmers in Kaikoura were very welcoming.
“They were under a bit of pressure when we arrived,” he told Dairy News.
For most of them Lockley’s team was the first contact they had apart from Fonterra’s farm assessment team and area manager.
The initial problem facing farmers was a lack of electricity; the ERT, with the help of a local electrician, helped install generators. Farms with damaged milking sheds walked their animals to nearby farms for milking. Lockley says at one farm 1400 cows were being milked each time.
“They were some pretty tired farmers and farm workers, so we took over milking, allowing them to rest and recover.”
Lockley says his team is happy to provide help for farmer shareholders following natural disasters.
“It’s all part of the cooperative spirit; it also shows the skills of our employees.”
Lockley says employees with previous trade experience are selected for ERT; they are trained at their respective sites where they are based.
Lockley and his team were deployed to Christchurch after the two big earthquakes; they have also helped farmers after major floods around the country. The team also spent a month in Australia helping suppliers following the Black Friday bushfires in Victoria.
Fonterra chief operating officer global operations Robert Spurway says the ERT’s contributions were appreciated by shareholders.
Spurway, who visited quake-affected Kaikoura dairy farmers and hosted a barbarcue for them, says farmers faced tough situations after the quake.
Milk collection progressing
Milk collection in quake-affected Kaikoura is progressing well, says Fonterra.
Fonterra tankers are being allowed to collect milk but trailer units are still prohibited on roads.
Fonterra chief operating officer global operations Robert Spurway says single tankers collect milk from farms around Kaikoura and transport it to a farm, from where contractor tanker trailers cart them out of the region.
